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Central Lancashire Employment Land Study – Key Issues Report Chorley, Preston and South Ribble Councils

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Central Lancashire Employment Land Study – Key Issues Report Chorley, Preston and South Ribble Councils Central Lancashire Employment Land Study – Key Issues Report Chorley, Preston and South Ribble Councils S153(e)/ Key Issues Report – Final Report/November 2017/BE Group Central Lancashire Employment Land Study – Key Issues Report Chorley, Preston and South Ribble Councils CONTENTS 1.0 INTRODUCTION ........................................................................................................ 1 2.0 CENTRAL LANCASHIRE IN CONTEXT ..................................................................... 3 4.0 THE MARKET CONTEXT ........................................................................................ 11 5.0 GROWTH FORECASTS – JOBS ............................................................................. 17 6.0 OBJECTIVELY ASSESSED NEEDS ........................................................................ 21 7.0 EMPLOYMENT LAND and PREMISES SUPPLY ..................................................... 26 8.0 RECOMMENDATIONS ............................................................................................ 32 9.0 COMMERCIAL HEADLINES .................................................................................... 37 S153(e)/ Key Issues Report – Final Report/November 2017/BE Group Central Lancashire Employment Land Study – Key Issues Report Chorley, Preston and South Ribble Councils 1.0 INTRODUCTION Introduction 1.1 This Key Issues Report provides a synopsis of the key findings of the Employment Land Study for the Central Lancashire sub-region of Chorley, Preston and South Ribble (see Figure 1). It was carried out by BE Group on behalf of Chorley and South Ribble Borough Councils, as well as Preston City Council. Figure 1 – Central Lancashire 1.2 This Employment Land Study has been carried out to provide a common evidence base for all three local authorities on employment matters, to compliment the Central Lancashire Strategic Housing Market Area Assessment and meet the requirements of the National Planning Policy Framework and Planning Practice Guidance. The evidence will be used to support the development of Local Plan documents for Central Lancashire. 1.3 The Key Issues Report summarises and brings together the main findings of the Employment Land Study Technical Report. As findings have been condensed it does not follow an identical format to the Technical Report but does include references to where more detail can be found regarding key findings in the Technical Report. S153(e)/ Key Issues Report – Final Report/November 2017/BE Group 1 Central Lancashire Employment Land Study – Key Issues Report Chorley, Preston and South Ribble Councils Methodology 1.4 Several research methods have been used, including site visits and interviews with stakeholders such as developers, investors and their agents. Major employers in Central Lancashire have been individually consulted, as have key public-sector agencies and Parish/Town Councils. A telephone survey of 850 local businesses was completed. The property market in the neighbouring local authority areas of Central Lancashire’s Functional Economic Market Area (FEMA) has been reviewed. Finally, the land supply has been assessed against forecast data to understand future land need. This comprises both ‘Policy Off’ and ‘Policy On’ forecasts, the latter accounting for the impacts of City Deal and the Central Lancashire’s two strategic sites – The Cuerden Strategic Site and the Samlesbury Enterprise Zone (part of the Lancashire Enterprise Zone). S153(e)/ Key Issues Report – Final Report/November 2017/BE Group 2 Central Lancashire Employment Land Study – Key Issues Report Chorley, Preston and South Ribble Councils 2.0 CENTRAL LANCASHIRE IN CONTEXT Technical Report Reference – More detail on the findings summarised below can be found in Section 3.0: Economic Context Assessment of the Technical Report. The Central Lancashire Economy Key Figures – Findings Population/Workforce 2.1 Central Lancashire, and particularly Chorley, has a 2016 Population: 366,300, growing population both through natural factors but increased by 5.2 percent since 2006 also through its ability to attract residents from other UK Local Authorities, along with some international 75.6 percent of working age people in employment migration. 4.9 percent unemployed 2.2 Preston has higher proportion of people aged 15-24 8.2 percent of workers self- employed and a lower proportion of people over 65, than wider averages, reflecting, at least in part, the local student 2.8 percent work from home population associated with the University of Central 37.9 percent qualified to Lancashire. NVQ Level 4, rising to 50 percent in Chorley 2.3 Central Lancashire is economically active, with activity Chorley a focus for staff in professional occupations, rates ranging from 83.4 percent in South Ribble to Preston/South Ribble focus 68.5 percent in Preston, against a national average of for skilled trades and caring/service employment 74.2 percent. Self-Employment and Homeworking rates are average overall but strongest in Chorley. Key Figures – Economy 12,995 businesses trading 2.4 The average Central Lancashire resident earns more in 2016, increased by 2013 than the average Central Lancashire worker in South percent since 2010 Ribble and Chorley. In Preston, the opposite is true On average, there are 58 businesses per 1,000 which reflects the in-commuting of highly paid service working age residents sector workers to the City. Growth sectors include Construction, ICT, business 2.5 The public sector is strong in Central Lancashire, but administration, retail/wholesale and public not excessively so for the county or region. Public admin. employment is focused in the health sectors of 97.7 percent of businesses Chorley and Preston and in administration in Preston. are Micro/Small, employing less than 50 The Central Lancashire health sector has lost 2,300 jobs since 2009 while administration gained 1,187. S153(e)/ Key Issues Report – Final Report/November 2017/BE Group 3 Central Lancashire Employment Land Study – Key Issues Report Chorley, Preston and South Ribble Councils 2.6 In the private sector, Construction is a major strength accounting for 9.6 percent of employment. South Ribble saw a gain of 2,000 jobs in this sector over 2009-2015. 2.7 Service sector strengths are in business administration and support services and information and communication, which accounted for 12.5 percent of employment in 2016. Preston saw its best growth in business administration, gaining some 2,300 jobs over 2009-2015. However, Chorley recorded a decrease of 2,800 jobs in this sector, over the same period, a surprising level of reduction which, which is difficult to attribute to any specific cause. Good growth was also observed in information and communication. This sector grew by some 1,300 jobs in South Ribble, but saw a 1,000- job reduction in Preston. 2.8 Manufacturing and logistics are strengths of South Ribble, accounting for 15.7 percent of employment in the Borough, against 11.0 percent across Central Lancashire, 14.4 percent regionally and 12.8 percent nationally. This is despite an employment reduction in manufacturing employment of some 10 percent, or around 1,400 jobs, across Central Lancashire, over 2009-2015. That reduction was spread relatively evenly through the three local authorities, each seeing 400-600 jobs reduced. The Functional Economic Market Area Technical Report Reference – More detail on the Functional Economic Market Area (FEMA) of Central Lancashire can be found in Section 7.0: Functional Economic Market Area of the Technical Report. 2.9 The FEMA for Central Lancashire includes the Fylde Coast local authority areas of Blackpool, Fylde and Wyre which have strong links to Preston via the M55/A583. In Pennine Lancashire, Blackburn with Darwen and Ribble Valley also fall within the economic catchment area of Preston. West Lancashire has strong connections to South Ribble via the M6/M58, A59 and comparable routes. Finally, Chorley has a pronounced relationship with its Greater Manchester neighbours of Bolton and Wigan as a net exporter of labour. Some overlapping market issues are described in Table 1. S153(e)/ Key Issues Report – Final Report/November 2017/BE Group 4 Central Lancashire Employment Land Study – Key Issues Report Chorley, Preston and South Ribble Councils Table 1 – FEMA Issues (areas listed in alphabetical order) Blackburn with Darwen – The Whitebirk Site, at Junction 6, M65 is the closest competing strategic location to the Cuerden Strategic Site, it is expected to deliver larger B2/B8 uses over the next few years, but has yet to do so. Blackpool – There will be a likely overlap in the aviation sector between Blackpool Airport and the Lancashire (Samlesbury-Warton) Enterprise Zones. However, there are also clear differences with the Lancashire Enterprise Zone focused on aviation manufacture and the BAE supply chain. Blackpool Airport by comparison is a civilian and commercial facility, with a focus on the operational aspects of the aviation sector. Bolton – The 80 ha Cutacre development off Junction 4, M61 is a major logistics scheme, with considerable spare capacity, which will compete with the Cuerden Strategic Site/Junction 31(a), Preston for requirements. Fylde – There are clear service sector linkages along the M55 Corridor, between Whitehills and Preston. However, Whitehills has seen little recent growth and is not attracting larger inward investment opportunities that might otherwise have gone to Central Lancashire. Ribble Valley – There is a cross boundary labour
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